Reverse Mortgage Retirement Planning

A reverse mortgage is a very powerful financial tool for preserving your nest egg. 

If you’re like most people we talk to on a daily basis, you’ll be surprised by how a reverse mortgage can fit into your retirement planning.

There is a reason that financial advisers, CPA’s and insurance agents love reverse mortgages. A reverse mortgage allows your home to line up into the perfect retirement picture. 

If you’re like most people we deal with on a daily basis, they are always surprised how a reverse mortgage can fit into their retirement plan. After all, reverse mortgages are not just for broke or desperate people. They are not just a loan for last resort with no other options. Fortunately the reverse mortgage is for the smart and intelligent individual that desires to be financially free. When a client learns how a reverse mortgage works they become very surprised that there are no negatives to a reverse mortgage. They are also surprised and excited when they see how a reverse mortgage can positively impact their retirement lifestyle and financial security.

The problem with your home equity.

Think about your home equity for a moment. Does it impact your life day to day? No! Home equity isn’t liquid. You can’t trade it for medical care, a new car, food, home repairs,  vacations, or anything else you need.

And it wouldn’t matter to your quality of life if your home equity was 5,000,000, because that’s just a number on a piece of paper. 

And because of this, unfortunately, there are seniors that are living in California and Florida,  who are technically millionaires, but they’re barely scraping by on their social security checks and small pensions.

Why is that?

It’s because most believe there are just two ways to convert home equity into cash. 1- sell your home, 2-do a cash out refinance. The first option obviously makes no sense if you want to keep living in your home. The second option in retirement makes no sense because it comes with the downside of a monthly payment, thus moving you even farther away from financial freedom.

But the good news is there is a third and better option: The reverse mortgage. The reverse mortgage enables retirees to dive into their home equity without the pitfalls of selling their home or taking on a mortgage payment. As you can see, this adds a powerful weapon to your retirement planning strategies.

But aren’t Reverse Mortgages just for broke or desperate people?

According to the US Census Data, the average American 55 years and older has a net worth of $268,700. Of that, $192,000 is home equity. As you can see, home equity is the greater part of the average retirees net worth. 

So why do most retirees prefer to drain their cash reserves, first, and put themselves in a desperate position, before they look to their home equity for relief?

In my experience, this usually comes down to the fact that the reverse mortgage is a highly misunderstood product.

So let me take a moment to lay out the facts.

There are two reverse mortgages in America. One program for 55 years and up, and another program for 62 years and up. Both programs remove your monthly payment and give you cash for your retirement. Depending on your age, the value of your home, and the balance you owe determines the best program for you.

However, whichever program you choose, no mortgage payments are required as long as you live in the home. But you will pay your property taxes and homeowners insurance just like with any mortgage. (There are programs in reverse mortgages to remove property taxes and homeowners insurance in some cases.)

And like with any mortgage you always remain the owner of your home, which means you’re free to leave it to your heirs.

Also note: Reverse mortgage proceeds have no impact on income taxes, Medicare, or social security retirement benefits.

So, bottom line, a reverse mortgage is a versatile and customizable process where you can take the proceeds from your reverse mortgage in a lump sum, line of credit, or a monthly income. 

(You can refer to our free webinar for more information or call one of our agents.)

A powerful retirement planning tool

Once you understand the fundamentals of the Reverse Mortgage process I’m sure you’ll see, as I have observed over the course of helping thousands with their reverse mortgages, every one of them enhanced the individual’s retirement plan. 

So you see, your home and your home’s equity no longer has to be a nice-to-have, but mostly unusable asset.  Thanks to the reverse mortgage you can use your home equity to increase your financial security and preserve your other retirement assets.

Or, in other words, you’ve taken care of your home all these years, now it’s time to let your home take care of you – so you can finish your life with financial freedom.

How to get a reverse mortgage quote.

If you are interested in a reverse mortgage we recommend you join our webinar or bypass the webinar and call one of the agents right away at 888 -220 -6490. The feds are aggressively changing the guidelines to try to get inflation under control. “As you know inflation is destroying your retirement.” The Federal Reserve is aggressively increasing interest rates to get inflation under control. If you are interested in financial peace, we highly recommend contacting us and moving forward as soon as possible.

About Tommy Trivett.                                                              
Tommy Trivett is President and Chief Editor of US Home Research and Marketing Group. He is an activist for seniors and veterans. When he is not working or writing he spends time with his lovely wife. He also enjoys researching, the outdoors, working out and reading. Contact him anytime to get the scoop on how reverse mortgages really work.